Cotton ginners suspend procurement of "Phutti" at support Price- PCGA Chairman

Pakistan Cotton Ginners Association (PCGA) has announced to stop procurement/purchase of "Phutti " immediately because support price of cotton is not viable and acceptable in the presence of sales tax on cotton seed (Binola) and its oil . Addressing a hurriedly called Press Conference here today PCGA Chairman Chaudhry Waheed Arshad alongwith Vice Chairman Rana Wasim Hanif, former Chairman Haji Muhammad Akram, Sohail Mehmood Haral, Amanullah Qureshi, Malik Sohail Talat, Asim Saeed were present on this occasion. Sheikh, Hafiz Abdul Latif, Amjad Ghori, Mazhar Shoaib said that it is not possible to pay support price of Rs.8,500 per maund to farmers due to severe fluctuation in prices and imposition of sales tax on "Binola and its oil".They said that. The government did not fulfil its commitment to remove the sales tax on banola and its oil . Consequently ,the prices of ginned cotton fell down to an extent. The market became unbalanced. They categorically stated that ginners never involved in the worst exploitation of the farmers but it is the result of the government's wrongful and ill-conceived  policies. They said that Ginners community forced to take this harsh step due to the non-implementation of the government commitments and promises, the ginner have today announced to stop the purchase of raw-cotton (Phutti) across the country .They said what a pity that the present government has not fulfilled even a single promise made to the association. They made it clear that cotton trade was not possible in the presence o taxes of Binola and  its oil . PCGA Chairman Chaudhry Waheed Arshad made it clear that we have no political motive nor we did not want to create any trouble for the Government but we are voicing our demands to protect the farmers' interest.  Chairman PCGA said that despite the assurances of the government, Finance Minister Muhammad Ishaq Dar and other federal ministers, the sales tax on Binola has not yet been abolished. The National Highway Authority (NHA) has imposed a huge toll tax on the vehicles carrying cotton, oil-cake, Binola  or oil which has not been removed despite commitments. At the provincial level, there is another tax burden and cruelty in the name of Excise levy  . Large Taxpayer Units (LTUs) and Regional Tax Offices (RTOs) are sending heavy tax notices, the amounts mentioned in these notices. are more than the factories' value. Announcing the suspension of cotton procurement until the provision of  free business environment . They said that  federal and provincial governments should accept PCGA's demands without any further delay  to ensure procurement of cotton at support price of Rs 8500 per maund.They warned the Government said that farmers would not sow cotton in next season if they were left abandoned and their intertests were not safeguarded .They reminded that  PCGA has played a pivotal role in the "Grow more cotton" campaign of the Government. Cotton (White Gold) is the backbone of the country's economy. PCGA launched a campaign to save the economy of cotton growing, the results of which are visible today. Stop shopping. Waited for a long time but now they are fed up. The price of cotton has gone below Rs 8500 per maund. The government has decided to ensure the purchase of cotton through the Trading Corporation of Pakistan (TCP) to ensure its intervention price of Rs 8500 per maund so that the minimum price is implemented by the government. as possible. All the promises of the government have turned out to be false and now the procurement of cotton will start when the notification of all PCGA demands is issued.